Price hikes are being driven by an increase in demand for beef at the same time as meatpacking capacity is being reduced, which has been worsened by a pandemic of plant closures. Derrell Peel, an agricultural economist at the University of Oklahoma, shared his thoughts.
What’s happening to the price of beef?
The increase in the price of meat begins in the cattle yards. In late 2020, the Eastern Young Cattle Indicator, which serves as a price barometer for live cattle sales, saw the price of a kilogram of beef rise to over $8.30. As recently as January of last year, that amount was below $5.
Why are supermarket prices so high for steak?
According to Madden, rising meat costs are also altering the way steak is advertised and sold. ‘Yearling meat is preferred by supermarkets because it comes from younger, smaller cattle. This allows them to provide a bundled collection of tiny steaks that are visually appealing. ‘Perhaps the steaks are a touch thinner than they should be, but they don’t look to be breaking the bank.’
Why is the price of Australian beef so high in 2021?
With the price of Australian beef reaching an all-time high in 2021, steak aficionados on a tight budget may have to forego the scotch fillet and sirloin in the next year. The retail price of prime beef has skyrocketed as a result of a combination of local meteorological circumstances and the effects of the worldwide pandemic on the cattle industry.
Is beef or pork more expensive in 2021?
According to new statistics from the Bureau of Labor Statistics, the price of beef and veal climbed by 20.1 percent between October 2020 and October 2021, a period of two years. It’s exceeding the rise in the price of pork, which is 14.1 percent more costly than it was at this time last year at this point in the year.